Is It Illegal In Chicagonto Refuse Service Because Of The Type Of Tender

Medium of payment recognized by a legal system as valid for coming together a financial obligation

This article is about the payment medium. For the vocal, see Legal Tender (vocal).

Legal tender is a form of coin that courts of law are required to recognize as satisfactory payment for whatever monetary debt.^[1] Each jurisdiction determines what is legal tender, only substantially it is anything which when offered ("tendered") in payment of a debt extinguishes the debt. There is no obligation on the creditor to accept the tendered payment, just the human activity of tendering the payment in legal tender discharges the debt.

Some jurisdictions permit contract police force to overrule the condition of legal tender, allowing (for instance) merchants to specify that they will not accept greenbacks payments.^[2] Coins and banknotes are usually defined as legal tender in many countries, but personal cheques, credit cards, and similar non-cash methods of payment are unremarkably not. Some jurisdictions may include a specific foreign currency as legal tender, at times as its exclusive legal tender or concurrently with its domestic currency. Some jurisdictions may forbid or restrict payment made by other than legal tender.^{[ citation needed ]} In some jurisdictions legal tender tin can be refused as payment if no debt exists prior to the fourth dimension of payment (where the obligation to pay may arise at the same time as the offer of payment). For example, vending machines and transport staff do non have to accept the largest denomination of banknote. Shopkeepers may reject big banknotes, which is covered by the legal concept known as invitation to treat.^{[ clarification needed ]}

The correct, in many jurisdictions, of a trader to refuse to do business organization with any person ways that a would-be purchaser may not force a purchase merely by presenting legal tender, as legal tender must only be accustomed for debts already incurred.

Etymology [edit]

The term "legal tender" is from Heart French tendre (verb form), meaning to offer. The Latin root is tendere (to stretch out), and the sense of tender as an offering is related to the etymology of the English word "extend" (to hold outward).^[3]

Withdrawal and replacement [edit]

Demonetization [edit]

Demonetization is the act of stripping a currency unit of measurement of its condition as legal tender. It occurs whenever in that location is a alter of national currency: The current form or forms of money is or are pulled from circulation and retired, oftentimes to be replaced with new notes or coins. Sometimes, a land completely replaces the quondam currency with new currency. The contrary of demonetization is remonetization, in which a grade of payment is restored as legal tender. Coins and banknotes may cease to be legal tender if new notes of the aforementioned currency replace them or if a new currency is introduced replacing the quondam one.^[iv] Examples of this are:

• During the Nazi occupation of the netherlands, 500- & 1000-guilder banknotes were demonetized, and afterward liberation, 100-guilder notes were also demonetized. Anne Frank in her diary entry on March 19, 1943 notes:^{[5] [6] [vii]}

  G-guilder notes are beingness alleged invalid. That'll be a blow to the black marketeers and others like them, merely even more than to people in hiding and anyone else with money that tin can't be deemed for. To turn in a thousand-guilder bill, you lot have to be able to country how you lot came by information technology and provide proof. They can still exist used to pay taxes, only only until adjacent calendar week. The 5-hundred notes volition lapse at the aforementioned time. Gies & Co. nevertheless had some unaccounted-for thousand-guilder bills, which they used to pay their estimated taxes for the coming years, so everything seems to be to a higher place board.

  Piet Lieftinck's mensurate of demonetizing 100-guilder notes was aimed at state of war profiteers.^[7]
• On October 6, 1944, 100 franc^{[ description needed ]} was demonetized. People having 100 francs were allowed to exchange up to 2000 francs per household for new banknotes. Banks added withdrawal limits and current accounts were frozen.^[seven]
• The Government of Ceylon passed the Prevention of the Avoidance of Income Tax Act on 26 October 1970, demonetized all currency notes of the denominations of Rupees 50 and 100, bearing a date prior to that of the demonetization.
• The Great britain adopted decimal currency in place of pounds, shillings, and pence in 1971. Banknotes remained unchanged (except for the replacement of the x shilling note by the fifty pence coin). In 1968 and 1969 decimal coins which had precise equivalent values in the erstwhile currency (5p, 10p, 50p – 1, 2, and 10 shillings respectively) were introduced, while decimal coins with no precise equivalent (½p, 1p, 2p – equal to i.2d (quondam pence), ii.4d, and 4.8d respectively) were introduced on fifteen February, 1971. The smallest and largest non-decimal circulating coins, the one-half penny and half crown, were withdrawn in 1969, and the other non-decimal coins with no precise equivalent in the new currency (1d, 3d) were withdrawn after in 1971. Non-decimal coins with precise decimal equivalents (6d ( = ii½p), i, and 2 shillings) remained legal tender either until the coins no longer circulated (1980 in the example of the 6d), or the equivalent decimal coins were reduced in size in the early on 1990s. The 6d coin was permitted to remain in big circulation throughout the Great britain due to the London Cloak-and-dagger committee's large investment in coin-operated ticketing machines that used it.^{[ citation needed ]} Old coins returned to the Royal Mint through the UK banking arrangement will exist redeemed past exchanging them for legal tender currency with no time limits; but coins issued earlier 1947 have a higher value for their silver content than for their monetary value.^{[ citation needed ]}
• The successor states of the Soviet Union replacing the Soviet ruble in the 1990s.^{[ citation needed ]}
• Currencies used in the Eurozone which were replaced past the euro were and so not legal tender, but all banknotes were redeemable for euros for a minimum of 10 years (for certain notes, there is no time limit).^{[ citation needed ]}
• India demonetised its 500 and m rupee notes on 8 November 2016. This activeness affected 86 per cent of all greenbacks in apportionment. The demonetisation action was intended to curb counterfeit notes and blackness coin, the hoarding of unaccounted greenbacks, and sponsorship of terrorism, merely too led to long queues from bank runs, leaving more than thirty people dead.^[viii] The quondam notes were replaced by new 500 and 2000 rupee notes.
• The Philippines has ceased 2 peso and 50 centavo coins of the Flora and Fauna Series in 2000, due to overminting of the coins of the BSP Serial that has not included the 2 peso and 50 centavo coins of that series.

Individual coins or banknotes can exist demonetised and terminate to be legal tender (for example, the pre-decimal U.k. farthing or the Bank of England 1 pound note), but the Bank of England does redeem all Depository financial institution of England banknotes by exchanging them for legal tender currency at its counters in London (or by postal service) regardless of how old they are. Banknotes issued by retail banks in the Britain (Scotland and Northern Ireland) are not legal tender, but one of the criteria for legal protection under the Forgery and Counterfeiting Act is that banknotes must be payable on demand, therefore withdrawn notes remain a liability of the issuing bank without whatever fourth dimension limits.^{[ citation needed ]}

In the instance of the euro, coins and banknotes of former national currencies were in some cases considered legal tender from 1 January 1999 until various dates in 2002. Most countries continued to exchange pre-euro notes and coins for a menses of time; only Ireland continues to practise so. Legally, those coins and banknotes were considered non-decimal sub-divisions of the euro.^{[ citation needed ]}

When the Iraqi Swiss dinar ceased to be legal tender in Iraq, it withal circulated in the northern Kurdish regions, and despite defective government backing, it had a stable market value for more than a decade. This example is often cited to demonstrate that the value of a currency is not derived purely from its legal condition^{[ citation needed ]} (simply this currency would not be legal tender).

This is also true of the paper money issued by the Confederate States of America during the American Ceremonious War. The Confederate currency became worthless past its own terms later on the state of war, since it could only be redeemed a stated number of years after a peace treaty was signed between the Confederacy and the U.s. (which never happened, equally the Confederacy was defeated and dissolved).

Demonetisation is currently prohibited in the U.s., and the Coinage Act of 1965 applies to all US coins and currency regardless of age. The closest historical equivalent in the US, other than Confederate money, was from 1933 to 1974, when the government banned most private ownership of gold bullion, including gold coins held for non-numismatic purposes. Now, however, even surviving pre-1933 gilt coins are legal tender under the 1964 human activity.^{[ citation needed ]}

Withdrawal from circulation [edit]

Banknotes and coins may exist withdrawn from apportionment, simply remain legal tender. Us banknotes issued at whatsoever date remain legal tender even after they are withdrawn from apportionment. Canadian 1- and 2-dollar bills remain legal tender even if they take been withdrawn and replaced by coins, but Canadian $1,000 bills remain legal tender fifty-fifty if they are removed from circulation every bit they arrive at a banking company. However, Bank of England notes that are withdrawn from apportionment mostly stop to be legal tender but remain redeemable for current currency at the Banking company of England itself or by post. All paper and polymer problems of New Zealand banknotes issued from 1967 onwards (and 1- and 2-dollar notes until 1993) are even so legal tender; still, one-, 2- and v-cent coins are no longer used in New Zealand.

Cashless lodge [edit]

A cashless society describes an economic country whereby fiscal transactions are non conducted with money in the class of concrete banknotes or coins, merely rather through the transfer of digital information (usually an electronic representation of coin) between the transacting parties.^[nine] Cashless societies accept existed, based on barter and other methods of commutation.

Commemorative issues [edit]

Sometimes currency problems such every bit commemorative coins or transfer bills may be issued that are non intended for public circulation simply are nonetheless legal tender. An example of such currency is Maundy money. Some currency issuers, particularly the Scottish banks, issue special commemorative banknotes which are intended for ordinary apportionment (though no Scottish banknotes nor notes from Northern Republic of ireland are legal tender in the United kingdom of great britain and northern ireland). Besides, some standard coins are minted on higher-quality dies every bit 'uncirculated' versions of the coin, for collectors to purchase at a premium; these coins are nonetheless legal tender. Some countries issue precious-metallic coins which take a currency value indicated on them which is far below the value of the metal the coin contains: these coins are known as "non-circulating legal tender" or "NCLT".

Status by country [edit]

Australia [edit]

The Australian dollar, comprising notes and coins, is legal tender in Commonwealth of australia. Australian notes are legal tender by virtue of the Reserve Depository financial institution Act 1959, s.36(1),^[x] without an amount limit. The Currency Human activity 1965 ^[11] similarly provides that Australian coins intended for general apportionment are besides legal tender, but only for the following amounts:

• not exceeding 20¢ if 1¢ and/or two¢ coins are offered,
• not exceeding $5 if whatsoever of v¢, x¢, 20¢ and fifty¢ coins are offered,
• not exceeding x times the confront value if the coins offered are greater than 50¢ up to and including $10,
• to any value for coins of other denominations in a higher place $10.^[12]

The 1¢ and ii¢ coins were withdrawn from circulation from Feb 1992 merely remain legal tender.^[13]

Although the Reserve Depository financial institution Act 1959 and the Currency Human action 1965 establishes that Australian banknotes and coins have legal tender condition, Australian banknotes and coins exercise not necessarily take to be used in transactions and refusal to have payment in legal tender is not unlawful. It appears that a provider of appurtenances or services is at liberty to set the commercial terms upon which payment will take place before the "contract" for supply of the goods or services is entered into. If a provider of goods or services specifies other means of payment prior to the contract, then there is normally no obligation for legal tender to be accepted as payment. This is the case fifty-fifty when an existing debt is involved. All the same, refusal to have legal tender in payment of an existing debt, where no other ways of payment/settlement has been specified in advance, conceivably could have consequences in legal proceedings.^{[13] [14]}

Australia Postal service prohibits the sending of coins or banknotes, of any country, except via registered postal service.^[15]

History [edit]

In 1901, notes in circulation in Australia consisted of bank notes payable in aureate coin and issued by the trading banks, and Queensland Treasury notes. Bank notes circulated in all States except Queensland, but were not legal tender except for a brief catamenia in 1893 in New Due south Wales. In that location were, however, some restrictions on their upshot and other provisions for the protection of the public. Queensland Treasury notes were issued by the Queensland Government and were legal tender in that state. Notes of both categories continued in circulation until 1910, when the Commonwealth Parliament passed the Australian Notes Act 1910 and the Bank Notes Tax Act 1910. The Australian Notes Act 1910 prohibited the apportionment of country notes as money, and the Banking company Notes Tax Act 1910 imposed a tax of ten%, per annum, on "all bank notes issued or re-issued past any bank in the Republic after the commencement of this Act, and non redeemed".^{[16] [17]} These Acts effectively put an end to the effect of notes by the trading banks and the Queensland Treasury. The Reserve Bank Act 1959 expressly prohibits persons and states from issuing "a bill or note for the payment of coin payable to bearer on need and intended for circulation".^[18]

Canada [edit]

In general, Canadian dollar banknotes issued past the Bank of Canada and coins issued nether the authority of the Royal Canadian Mint Deed are legal tender in Canada. However, commercial transactions may legally be settled in whatsoever fashion agreed by the parties involved with the transactions. For instance, convenience stores may reject $100 banking company notes if they feel that would put them at gamble of being apocryphal victims; yet, official policy suggests that the retailers should evaluate the impact of that approach. In the case that no mutually adequate class of payment can be establish for the tender, the parties involved should seek legal advice.^[19]

Nether the Currency Human action, at that place are limits to the value of a transaction for which only coins are used.^[20] A payment in coins is a legal tender for no more than the following amounts for the following denominations of coins:

1. $40 if the denomination is $two to $10,
2. $25 if the denomination is $i,
3. $10 if the denomination is 10c to $ane,
4. $5 if the denomination is 5c, and
5. 25c if the denomination is 1c.

In the example of coins of a denomination greater than $ten, a payment is a legal tender for no more than than the value of a single coin of that denomination. Where more than one amount is payable by one person to another on the same day under one or more obligations, the total of those amounts is deemed to exist one amount due and payable on that day.

Communist china [edit]

In the People'due south Republic of Cathay, the official currency renminbi serves as the unlimited legal tender for all transactions. It is past law that any public institution or individual must not refuse using the currency to settle public or private domestic owing.^[21]

El salvador [edit]

In June 2021, Republic of el salvador became the kickoff country to have Bitcoin as legal tender, after the Legislative Assembly had voted 62–22 to pass a nib submitted by President Nayib Bukele classifying the cryptocurrency every bit such.^[22]

Eurozone [edit]

Euro coins and banknotes became legal tender in near countries of the Eurozone on one January 2002. Although ane side of the coins is used for different national marks for each country, all coins and all banknotes are legal tender throughout the eurozone. Although some eurozone countries do not put 1 cent and ii cent coins into general circulation (prices in those countries are past general understanding always rounded to whole multiples of 5 cent), 1 cent and 2 cent coins from other eurozone countries remain legal tender in those countries.

Council Regulation (EC) No 974/98 limits the number of coins that tin be offered for payment to l.^[23] Governments that issue the coins must establish the euro as the only legal tender. Due to variations on the legislative meaning of legal tender in various member states and the ability of contract law to overrule the status of legal tender, it is possible for merchants to choose to refuse to accept euro banknotes and coins within specific countries within the Eurozone. For instance, the Netherlands, Italy, Belgium, Finland, and Ireland take de jure or de facto removed the utilize of i cent and two cent coins and adopted cash rounding to the nearest multiple of 5 cents.^[24] National laws may also impose restrictions as to maximal amounts that can exist settled by coins or notes.

Kosovo and Montenegro, which are not a fellow member of the European Marriage, Eurozone nor does it have a formal monetary agreement with the EU, unilaterally adopted the euro in 2002 as its de facto domestic currency to ensure monetary stability and to go along to avert the loftier/hyper inflation seen in preceding decades: this means that the euro is non a legal tender at that place, notwithstanding it is treated every bit such by the government and the population.

France [edit]

Legal tender was enacted the first time for gold and silverish coins in the French Penal Lawmaking of 1807 (art. 475, xi°). In 1870, legal tender was extended to all notes of the Banque de France. Anyone refusing such coins for their whole value would be prosecuted (French Penal Code art. R. 642-3).

Republic of Ireland [edit]

According to the Economic and Monetary Union Act, 1998 of the Republic of Republic of ireland which replaced the legal tender provisions that had been re-enacted in Irish legislation from previous British enactments, "No person, other than the Primal Bank of Ireland and such persons as may be designated past the Government minister by order, shall exist obliged to accept more than than 50 coins denominated in euro or in cent in any single transaction."

History [edit]

The Decimal Currency Act, 1970 governed legal tender prior to the adoption of the euro and laid downward the coordinating provisions as in United Kingdom legislation (all inherited from previous UK police), namely: coins denominated higher up 10 pence became legal tender for payment not exceeding £10, coins denominated not more than 10 pence became legal tender for payment non exceeding £5, and bronze coins became legal tender for payment not exceeding 20 pence.

Commonwealth of India [edit]

The Indian rupee is the de facto legal tender currency in India. The Indian rupee is also legal tender in Nepal and Bhutan, but the Nepalese rupee and Bhutanese ngultrum are not legal tender in India. Both the Nepalese rupee and Bhutanese ngultrum are pegged with the Indian rupee.^[25]

The Indian rupee used to exist an official currency of several other countries, including the Straits Settlements (now Singapore and parts of Malaysia), Iraq, State of kuwait, Bahrain, Qatar, the Trucial States (now the UAE), Oman, Aden Colony and Aden Protectorate (now parts of Yemen), British Somaliland, British East Africa, and Zanzibar.

In 1837, the Indian rupee was made the sole official currency of the Straits Settlements, as it was administered as a role of India. In 1845, the British replaced the Indian rupee with the Straits dollar after administration of the Straits Settlements separated from India earlier in that same year.

Indian rupees were stamped with Regime of Islamic republic of pakistan to exist used as legal tenders in the new state of Islamic republic of pakistan in 1947.

After partition of Republic of india and Pakistan in 1947, the Pakistani rupee came into existence, initially using Indian coins and Indian currency notes simply overstamped with the word "Islamic republic of pakistan". New coins and banknotes were issued in 1948.

The Gulf rupee, also known as the Persian Gulf rupee (XPGR), was introduced by the Government of India equally a replacement for the Indian rupee for apportionment exclusively outside the land with the Reserve Bank of India Subpoena Act of 1 May 1959. This creation of a split currency was an attempt to reduce the strain put on India's foreign reserves by golden smuggling.

Kuwait and Bahrain eventually replaced the Gulf rupee with their ain currencies (the Kuwaiti dinar and the Bahraini dinar) after gaining independence from Britain in 1961 and 1965, respectively.

On 6 June 1966, India devalued the rupee. To avoid following this devaluation, several of the states using the rupee adopted their own currencies. Qatar and nigh of the Trucial States adopted the Qatar and Dubai riyal, whilst Abu Dhabi adopted the Bahraini dinar. Only Oman continued to employ the Gulf rupee until 1970, with the government backing the currency at its onetime peg to the pound. Oman later replaced the Gulf rupee with its ain rial in 1970.

On 8 November 2016, Prime Minister Narendra Modi appear that existing INR 500 and INR 1000 banknotes would no longer exist accepted as legal tender with a view to curb counterfeiting, tax evasion and the parallel economy.^[26] The Reserve Banking company of India outlined a scheme for holders of such banknotes to either deposit them into their depository financial institution accounts for full, unlimited value, or to exchange the banknotes for new, subject to a cap.^[27]

New Zealand [edit]

New Zealand has a circuitous history of legal tender. English law applied, equally applicable to local circumstances, either from half dozen January 1840 (when the Governor of New South Wales by annunciation annexed New Zealand) or from 14 January 1840 (when Captain Hobson (of the Royal Navy) was sworn in as Lieutenant-Governor of New Zealand). The English Laws Act 1858 subsequently confirmed that English legislation passed prior to 14 January 1840 was and had been the law of New Zealand, as applicative to local circumstances. The (UK) Coinage Act 1816 therefore applied and British coins were confirmed as legal tender in New Zealand. (Unusually, until 1989, the Reserve Banking concern (established in 1934) did not have the right to event coins as legal tender. Coins had to exist issued by the Minister of Finance.)

The history of bank notes in New Zealand was considerably more complex. In 1840 the Union Bank of Australia started issuing bank notes under provisions of British police, just these were not automatically legal tender.

In 1844 ordinances were passed^{[ past whom? ]} making the Matrimony Depository financial institution banknotes legal tender and authorizing the government to issue debentures in small denominations, thus creating two sets of legal tender. These debentures were circulated simply were traded at a discount to their face up value because of distrust of the colonial authorities among the settler population. In 1845 the British Colonial office disallowed the Ordinance^{[ which? ]} and the debentures were recalled, non without commencement causing a panic among holders.

In 1847 the Colonial Banking company of Upshot became the simply issuer of legal tender. In 1856, withal, the Colonial Banking company of Upshot was disbanded; and through the Paper Currency Act 1856 the Matrimony Depository financial institution was confirmed once once again as an issuer of legal tender. The Human activity also authorized the Oriental Bank to event legal tender - but this bank ceased operations in 1861.

Between 1861 and 1874, a number of other banks including the Bank of New Zealand, the Banking company of New South Wales, the National Bank of New Zealand and the Colonial Bank of New Zealand were created by Acts of Parliament and authorized to issue bank-notes backed by gold, nonetheless these notes were not legal tender.

The 1893 Bank Annotation Issue Deed allowed the regime to declare a bank'south right to issue legal tender. This enabled the regime to make such a declaration to assist the Bank of New Zealand when in 1895 the bank encountered financial difficulties that could accept led to its failure.

In 1914 the Banking Amendment Act gave legal-tender status to bank notes from any issuer and removed the requirement that banks authorized to outcome banking concern notes must redeem them on need for gold (the gold standard).

In 1933 the Coinage Act authorized a specific New Zealand coinage and removed legal-tender condition from British coins. In the same year the Reserve Bank of New Zealand was established. The bank was given a monopoly on the issue of legal tender. The Reserve Banking concern also provided a mechanism through which the other issuers of legal tender could phase out their depository financial institution notes. These banknotes were convertible into British legal tender on demand at the Reserve Banking concern and remained so until the 1938 Sterling Exchange Suspension Notice that suspended provisions of a 1936 amendment of the 1933 Reserve Bank of New Zealand Deed.

In 1964 the Reserve Depository financial institution of New Zealand Act re-stated that only notes issued by the Reserve Banking concern were legal tender. The Act as well ended the right of individuals to redeem their bank notes for money, effectively ending the distinction between money and notes in New Zealand. The Deed came into force in 1967, establishing as legal tender all New Zealand dollar v-dollar banknotes and greater, all decimal coins, the pre-decimal sixpence, the shilling, and the florin. As well passed in 1964 was the Decimal Currency Act, which created the footing for a decimal currency, introduced in 1967.

As of 2005^[update] banknotes were legal tender for all payments, and $1 and $2 coins were legal tender for payments up to $100, and 10c, 20c, and 50c silver coins were legal tender for payments upwards to $v. These older-mode silver coins were legal tender until October 2006, after which but the new 10c, 20c and 50c coins, introduced in August 2006, remained legal.^[28]

Kingdom of norway [edit]

The Norwegian krone (NOK) is legal tender in Norway co-ordinate to the Central Bank (Norwegian: Sentralbankloven) of 24 May 1985.^[29] Even so, no-one is obliged to take more than 25 coins of each denomination (of which currently 1, 5, 10 and 20 NOK denominations are in mutual circulation).

Singapore and Brunei [edit]

Singapore and Negara brunei darussalam have a Currency Interchangeability Understanding since 12 June 1967. Under the agreement, Singapore dollar and Brunei dollar are exchangeable at par without charge in both countries. As such, the currency of 1 country is accepted in the other country as "customary tender".^[thirty]

Switzerland and Liechtenstein [edit]

The Swiss franc is the but legal tender in Switzerland. Any payment consisting of up to 100 Swiss coins is legal tender; banknotes are legal tender for whatsoever corporeality.^[31]

The sixth serial of Swiss banking concern notes from 1976, recalled past the National Banking company in 2000, and the eighth series from the 1990'southward, withdrawn in 2021, are both no longer legal tender, but banknotes can exist exchanged past the Swiss National Bank or other authorized banks for electric current notes without limitation as to time.

The Swiss franc is likewise the legal tender of the Principality of liechtenstein, which is joined to Switzerland in a community spousal relationship.

The Swiss franc is also the currency used for administrative and accounting purposes by near of the numerous international organisations that are headquartered in Switzerland.

Taiwan [edit]

The New Taiwan dollar issued by the Central Depository financial institution of the Republic of Communist china (Taiwan) is legal tender for all payments within the territory of the Republic of China, Taiwan.^[32] However, since 2007,^[33] candidates to become civil servants in elections in the Republic of China may no longer pay any deposit in coinage.^[34]

Thailand [edit]

Series two banknotes get-go issued in 1925 during the reign of Rama VI and standing into the reign of Rama Vii added the legend,

Thai: สัญญาจะจ่ายเงินให้แก่ผู้นำบัตรนี้มาขึ้นเป็นเงินตราสยาม

Promise to pay (silver to) bearer on need in (silvery) currency of Siam;

later on changed in 1928 to be in line with The Currency Act, B.E. 2471^[35] to

ธนบัตรเป็นเงินที่ชำระหนี้ได้ตามกฎหมาย

This note is legal tender (literal translation, silvery in payment of debt) according to constabulary.

The front has a guilloche design with twelve rays, and the back, depictions of the Royal Ploughing Ceremony. These were printed in 6 denominations – 1, v, ten, 20,100 and 1000 baht – in two types printed by De La Rue of London, England.^[36]

United Kingdom [edit]

Legal tender is solely for the guaranteed settlement of debts and does non impact any party's right of refusal of service in whatsoever transaction.^[37]

In the 19th century, gold coins were legal tender to any amount, only silvery coins were not legal tender for sums over 2 pounds nor bronze for sums over i shilling. This provision was retained in revised form at the introduction of decimal currency, and the Coinage Act 1971 laid down that coins denominated above x pence became legal tender for payment non exceeding 10 pounds, not-bronze coins denominated non more than 10 pence became legal tender for payment not exceeding v pounds, and bronze coins became legal tender for payment non exceeding 20 pence.

Throughout the United kingdom, coins valued 1 pound, 2 pounds, and 5 pounds sterling are legal tender in unlimited amounts. Twenty pence pieces and l pence pieces are legal tender in amounts upwards to x pounds; 5 pence pieces and ten pence pieces are legal tender in amounts upwardly to five pounds; and pennies and two pence coins are legal tender in amounts up to 20 pence.^[37] In accordance with the Coinage Act 1971,^[38] gold sovereigns are also legal tender for whatsoever amount. Although it is not specifically mentioned on them, the confront values of gold coins are 50p; £1; £ii; and £five, a mere fraction of their worth equally bullion. V pound coins, although legal tender, are intended as souvenirs and are almost never seen in circulation.

To meet the legal definition of legal tender, the exact amount due must exist tendered; no change tin can exist demanded.^[39]

Maundy money is legal tender just may not be accepted by retailers and is worth much more than than face up value due to its rarity value and silver content.

Depository financial institution of England notes are legal tender in England and Wales and are issued in the denominations of £5, £10, £20 and £50. They can always be redeemed at the Depository financial institution of England even if discontinued. Banknotes issued by Scottish and Northern Irish banks are non legal tender anywhere merely are widely accepted with understanding between parties.^[twoscore]

In a 1976 case, Miliangos 5 George Frank Ltd, the House of Lords established that the English courts could society debts to exist paid in currencies other than sterling nether certain circumstances, overturning 2 centuries of precedent.

Scotland [edit]

No banknotes are legal tender in Scotland.^[41] Scottish banknotes are legal currency, but are non legal tender anywhere in the UK.^[42]

United States [edit]

Earlier the Civil War (1861 to 1865), silver coins were legal tender only up to the sum of $5. Before 1853, when U.S. silver coins were reduced in weight 7%, coins had exactly their value in metal (from 1830 to 1852). 2 silver 50 cent coins had exactly $1 worth of silver. A gilt U.Due south. dollar of 1849 had $1 worth of gilt. With the inundation of gold coming out of the California mines in the early 1850s, the price of silvery rose (gold went downwardly). Thus, l cent coins of 1840 to 1852 were worth 53 cents if melted down. The government could increase the value of the gold coins (expensive) or reduce the size of all U.South. argent coins. With the reduction of 1853, a 50-cent coin now had only 48 cents of silver. This is the reason for the $5 limit of silvery coins equally legal tender; paying somebody $100 in the new silver coins would be giving them $96 worth of silver. Well-nigh people preferred cheque or gold coins for large purchases.^{[ citation needed ]}

During the early on American Civil State of war, the federal authorities offset issued United States Notes (the first greenback notes), which were not redeemable in gilt and silver coins but could be used to pay "all dues" to the federal authorities. Since land purchases and duties on imports were payable only in gold or the new Demand Notes, the Demand Notes were bought by importers and land speculators for most 97 cents on the gilded dollar and never lost value. 1862 cash (Legal Tender Notes) at first traded for 97 cents on the dollar but gained/lost value depending on fortunes of the Union army. The value of Legal Tender Cash swung wildly but trading was from 85 to 33 cents on the gold dollar.^{[ citation needed ]}

This resulted in a situation in which the greenback "Legal Tender" notes of 1862 were fiat, so gilt and silver were held and newspaper circulated at a discount because of Gresham's law. The 1861 Demand Notes were a huge success merely robbed the community house of much needed gold coin (interest on about bonds dorsum then was paid in gold). A money-strapped Congress, which had to pay for the war, eventually adopted the Legal Tender Act of 1862, issuing United States Notes backed merely past treasury securities, and compelled the people to have the new notes at a discount; prices rose except for those who had gold and/or silver coins.^{[ commendation needed ]}

Post-obit the Civil War, newspaper currency was disputed as to whether it must exist accustomed as payment. In 1869, Hepburn 5. Griswold plant that Henry Griswold would not accept to accept paper currency considering information technology could not truly be "legal tender" and was unconstitutional as a legally enforceable means to pay debts. This led to the Legal Tender Cases in 1870, which overturned the previous ruling and established the newspaper currency every bit constitutional and proper legal tender that must be accepted in all situations.^[43]

With the 1884 Supreme Court ruling in Juilliard v. Greenman, the "Supreme Courtroom ruled that Congress had the right to issue notes to be legal tender for the payment of public and individual debt. Legal-tender notes are treasury notes or banknotes that, in the eyes of the constabulary, must be accepted in the payment of debts."^[44] The ruling in the Legal Tender Cases (which include Juilliard v. Greenman) led later courts to "support the federal government'southward invalidation of aureate clauses in private contracts in the 1930s."^{[45] [ unreliable source? ]}

On the other hand, coins fabricated of gold or silver may non necessarily be legal tender, if they are non fiat money in the jurisdiction where they are proffered as payment. The Coinage Act of 1965 states (in office):

United states of america coins and currency (including Federal reserve notes and circulating notes of Federal reserve banks and national banks) are legal tender for all debts, public charges, taxes and dues. Foreign gilt or silver coins are not legal tender for debts.

Contrary to common misconception,^[46] there is no federal law stating that a individual concern, a person, or a government system must accept currency or coins for payment. Private businesses are costless to create their own policies on whether they have cash, unless there is a specific state law which says otherwise. For case, a motorcoach line may prohibit payment of fares in cents or dollar bills. In add-on, movie theaters, convenience stores, and gas stations may refuse to accept large denomination currency as a matter of policy or safety.^{[47] [48]}

The principal purpose of that statute is to ensure the nationwide acceptance of U.S. currency, consequent with ramble language that reserves to Congress the power to create a compatible currency that holds the same value throughout the U.s.a.. While the statute provides that U.S. money is legal tender that may be accepted for the payment of debts, it does non require acceptance of cash payments, nor does information technology provide that restrictions cannot exist imposed upon the credence of cash.^{[49] [ improve source needed ]}

Venezuela [edit]

On 11 December 2016, Venezuela's regime appear demonetisation following near 500% inflation in the state. People of the land were given 3 days to get rid of the 100 Bolivar notes (nearly widely used currency) mail service the introduction of new annotation of college denominations. As of 15 June 2017, there has been 7 extensions (one per month) of the legal use of the 100 bolivares bill notes. The 100 Bolivar notes were still legal tender as of 30 December 2017.^{[ citation needed ]}

Run across also [edit]

• Currency
• Economy monetization
• Gresham's law
• Postage stamp demonetization
• Standard of deferred payment
• Seigniorage

Notes [edit]

1. ^ "Legal Tender Guidelines". The Royal Mint . Retrieved 9 April 2020.
2. ^ Paul Chiliad. Horvitz, Monetary Policy and the Financial System, p. 14, Prentice-Hall, 3rd ed. (1974).
3. ^ Definition of tender as verb, in Merriam-Webster Archived 24 April 2009 at the Wayback Machine. Retrieved 13 July 2009.
4. ^ Cross, Bill (2012). Dollar Default: How the Federal Reserve and the Authorities Betrayed Your Trust. pp. 15–16. ISBN9781475261080.
5. ^ Frank, Anne, 1929-1945. (2003). The diary of Anne Frank. Barnouw, David,, Stroom, Gerrold van der,, Paape, A. H. (Abraham Harry), 1925-2001,, Hardy, H. J. J.,, Pomerans, Arnold,, Mooyaart-Doubleday, B. M. (The revised disquisitional ed.). New York. ISBN0-385-50847-6. OCLC 51866807. {{cite book}}: CS1 maint: multiple names: authors list (link)
6. ^ "Anne Frank The Diary Of A Young Girl : Gratis Download, Infringe, and Streaming". Internet Archive . Retrieved 26 August 2020.
7. ^ ^{a b c} Paying for Hitler'south state of war : the consequences of Nazi hegemony for Europe. Scherner, Jonas,, White, Eugene Nelson, 1952-. New York, NY. 21 March 2016. ISBN978-1-107-04970-3. OCLC 936255867. {{cite book}}: CS1 maint: others (link)
8. ^ "Demonetisation: 33 deaths since government scrapped Rs 500, Rs grand notes". indianexpress.com. xvi Nov 2016. Archived from the original on 30 December 2017. Retrieved 27 March 2018.
9. ^ "THE Toll OF CASH IN THE UNITED STATES" (PDF). The Fletcher School Tufts Academy. p. ix. Archived from the original (PDF) on 1 December 2016. Retrieved 17 December 2016.
10. ^ Reserve Bank Act 1959, south.36(1)
11. ^ Currency Human activity 1965, south.16
12. ^ CURRENCY ACT 1965 Archived 12 March 2011 at the Wayback Machine
13. ^ ^{a b} "RBA Banknotes: Legal Tender". Rba.gov.au. Archived from the original on 13 December 2014.
14. ^ "Reserve Banking company of Australia – Home Page". Rba.gov.au. Archived from the original on 2 May 2010. Retrieved 3 May 2010.
15. ^ "Dangerous and prohibited appurtenances and packaging guide" Archived 28 March 2015 at the Wayback Machine, 'Australia Post', Accessed: 31 July 2015
16. ^ "Banking concern Notes Revenue enhancement Act 1910". Commonwealth of Australia. Retrieved 14 November 2014.
17. ^ "THE AUSTRALIAN Note ISSUE". Commonwealth of Commonwealth of australia. Retrieved 14 November 2014.
18. ^ Reserve Banking company Act 1959, due south.43, 44
19. ^ "Currency Counterfeiting – Frequently Asked Questions". Rcmp-grc.gc.ca. 10 July 2006. Archived from the original on 22 March 2010. Retrieved iii May 2010.
20. ^ "Canada'south currency deed". Archived from the original on sixteen June 2011. Retrieved 8 July 2011.
21. ^ "中华人民共和国人民币管理条例". www.pbc.gov.cn. Archived from the original on 23 December 2015. Retrieved 13 February 2016.
22. ^ "Bitcoin legal tender in El Salvador, first country always". Mercopress. 10 June 2021.
23. ^ "Council Regulation (EC) No 974/98 of 3 May 1998 on the introduction of the euro" (PDF). Official Journal of the European Communities. 41 (50 139): i–five. 11 May 1998. ISSN 0378-6978. OCLC 104948742. Retrieved 3 June 2009.
24. ^ Euro Legal Tender Expert Group. "Study. Euro legal tender expert group (ELTEG)" (PDF). European Commission. Archived (PDF) from the original on 3 April 2016. Retrieved 17 June 2016.
25. ^ "Surface area handbook Series/ Bhutan (Nepal and Bhutan) / Glossary". Land-information.com. Archived from the original on nine September 2009. Retrieved three May 2010.
26. ^ Trivedi, Sudhanshu (6 June 2017). "The reputation of Bharat as a soft state is over". The Indian Express. Archived from the original on 23 June 2017.
27. ^ "Archived copy" (PDF). Archived (PDF) from the original on 9 November 2016. Retrieved 9 November 2016. {{cite spider web}}: CS1 maint: archived re-create every bit title (link)
28. ^ "Reserve Bank of New Zealand: Message Vol. 66 No. i" (PDF). Archived from the original (PDF) on xv May 2010. Retrieved iii May 2010.
29. ^ "Law regarding Norges Banking company and budgetary issues of 1985-05-24 no. 28, §14 (in Norwegian)".
30. ^ "Currency Interchangeability Agreement – Brunei Notes and Coins". Monetary Authority of Singapore. Archived from the original on 27 July 2014. Retrieved 24 November 2014.
31. ^ Art. 3 of the Swiss law on Monetary Unit and means of payment. High german Archived 28 Oct 2005 at the Wayback Machine, French Archived 28 December 2005 at the Wayback Machine and Italian Archived 28 Dec 2005 at the Wayback Machine versions.
32. ^ Article xiii of The Central Banking company of the Democracy of China (Taiwan) Deed.
33. ^ Legislative History of the Ceremonious Servants Election And Recall Act, the 21st version: "The total text of 134 Articles amended and promulgated by President Order Hua-Tsung (1) Yi-Tzu No. 09500075641 on November 7, 2007 and enforced accordingly".
34. ^ Commodity 32 of the Civil Servants Election And Recall Deed.
35. ^ พระราชบัญญัติเงินตราพุทธศักราช ๒๔๗๑ (PDF) (in Thai). ราชกิจจานุเบกษา เล่ม ๔๕ หน้าที่ ๒๕ – ๓๙ วันที่ ๑๕ เมษายน พ.ศ. ๒๔๗๑. Archived (PDF) from the original on 24 February 2013. Retrieved 12 September 2012.
36. ^ "Banknotes, Series 2". Banknotes > History and Serial of Banknotes >. Depository financial institution of Thailand. 23 February 2012. Archived from the original on 30 December 2017. The design was printed on both sides....
37. ^ ^{a b} "Legal Tender Guidelines". Royal Mint. Archived from the original on 2 March 2012. Retrieved 9 March 2009.
38. ^ Text of the Coinage Deed 1971 as in strength today (including whatsoever amendments) within the United kingdom, from legislation.gov.uk.
39. ^ "What are the legal tender amounts acceptable for Uk coins? | the Royal Mint".
40. ^ "Bank of England Banking concern Notes". Bank of England. Archived from the original on ii January 2018.
41. ^ "What is legal tender?". world wide web.bankofengland.co.uk . Retrieved 1 December 2020.
42. ^ CSCB. "Legal Position". www.scotbanks.org.uk . Retrieved 1 Dec 2020.
43. ^ Hammond, Bray. Banks and Politics in America. Princeton: Princeton Academy Press, 1991. pp. 108–109
44. ^ Allen, Larry. The Encyclopedia of Money. Santa Barbara: ABC CLIO, 2009. pp. 250–251
45. ^ Zywicki, Todd. "Article I, Section 8" in The Heritage Guide to the Constitution. Regnery Publishing, 2014. p. 147
46. ^ Lewis, Nathan (18 Apr 2017). "What Is A 'Legal Tender Law'? And, Is It A Trouble?". Forbes. Archived from the original on 3 June 2018.
47. ^ "Legal Tender Status". Resources Center. U.S. Section of the Treasury. iv January 2011. Archived from the original on 24 January 2017. Retrieved 27 January 2017.
48. ^ "FRB: Is it legal for a business in the United States to decline cash as a form of payment?". Board of Governors of the Federal Reserve Organization. Federal Reserve Organization. 17 June 2011. Archived from the original on 21 January 2017. Retrieved 27 Jan 2017.
49. ^ Larson, Aaron. "Is it Legal to Turn down Cash Payment". Adept Constabulary . Retrieved 13 July 2018.

External links [edit]

• The Purple Mint – UK Legal Tender Guidelines
• The Royal Mint – Legal tender condition of stamps in the UK Archived 29 Apr 2012 at the Wayback Car
• Act to qualify the Upshot of United States Notes, and for the Redemption or Funding thereof, and for Funding the Floating Debt of the United states. 37th Congress, 2d Session, Ch. 33, 12 Stat. 345. [Legal Tender Human activity]
• Human action to authorize an additional Issue of The states Notes, and for other purposes. 37th Congress, 2d Session, Ch. 142, 12 Stat. 532 [Second Legal Tender Human action]
• Act to provide Ways and Means for the Support of the Government. 37th Congress, 3d Session, Ch. 73, 12 Stat. 709 [Third legal Tender Human activity]

Is It Illegal In Chicagonto Refuse Service Because Of The Type Of Tender,

Source: https://en.wikipedia.org/wiki/Legal_tender

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